IRE PEN Trustees Own-Risk Assessment


On Oct. 11, IRE PEN issued own-risk assessment guide for trustees.


  • IRE PEN published its guidance for trustees on the own-risk assessment (ORA), as required under section 64AL of the Pensions Act, which is due on Apr. 22, 2024.
  • Follows IRE PEN Nov. 2021, issued guidance on assessment completion, see #121268.
  • Background
  • IRE PEN expects that this guidance will be used to supplement trustees’ existing ORA process and should not be used as a starting point or for it to be mechanistic.
  • The ORA process should be flexible to work with a scheme’s individual risk profile.
  • Key Points
  • The risk management key function holder (KFH) must use their knowledge and experience to support the trustees to carry out and document the ORA.
  • While trustees may engage professional advice to ensure that the ORA is fit for purpose, the trustees remain responsible for the design of the process and delivery.
  • Trustees are required to carry out a full ORA at least once every three years.
  • However, in the event of any significant change to the scheme’s risk profile, an updated ORA should be completed without delay or within three months of the change.
  • Further provisions on risk management, strategic decision making and reporting.
  • Effectiveness
  • Except for one-member arrangements established before Apr. 22, 2021, the latest date by which a pension scheme's first ORA can be completed is Apr. 22, 2024.

Regulators IRE PEN
Entity Types Fiduciary; Pension
Reference PR, Gd, 10/11/2023
Functions Compliance; Operations; Product Administration; Reporting; Risk
Countries Ireland
Category
State
Products Pensions; Retirement Plan
Regions EMEA
Rule Type Final
Rule Date 10/11/2023
Effective Date 4/22/2024
Rule Id 187794
Linked to Rule :121268
Reg. Last Update 10/11/2023
Report Section EU

Last substantive update on 10/15/2023